Navy Awards $31.1M for Ship Building and Repairing to National Steel and Shipbuilding Company
Contract Overview
Contract Amount: $31,113,725 ($31.1M)
Contractor: National Steel and Shipbuilding Company
Awarding Agency: Department of Defense
Start Date: 2025-02-17
End Date: 2025-07-31
Contract Duration: 164 days
Daily Burn Rate: $189.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: TYCOM BASE ITEMS
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92136
Plain-Language Summary
Department of Defense obligated $31.1 million to NATIONAL STEEL AND SHIPBUILDING COMPANY for work described as: TYCOM BASE ITEMS Key points: 1. Significant contract value of $31.1 million for essential ship maintenance. 2. National Steel and Shipbuilding Company is a key player in the shipbuilding sector. 3. Potential risk associated with single award for critical naval assets. 4. Spending falls within the IT/Defense sector, requiring specialized expertise.
Value Assessment
Rating: good
The contract value of $31.1 million appears reasonable for specialized ship building and repairing services. Benchmarking against similar large-scale naval contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and value for the government.
Taxpayer Impact: Full and open competition aims to ensure taxpayer funds are used efficiently by securing the best possible pricing through a competitive market.
Public Impact
Ensures readiness and operational capability of naval vessels. Supports critical infrastructure for national defense. Contributes to the skilled workforce in the shipbuilding industry.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Dependence on a single contractor for critical repairs.
- Potential for cost overruns if unforeseen issues arise during repair.
Positive Signals
- Awarded through full and open competition.
- Clear delivery order with defined end date.
Sector Analysis
This contract falls under the shipbuilding and repairing sector, a critical component of national defense. Spending benchmarks for similar naval maintenance contracts are typically in the millions, aligning with this award.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.
Oversight & Accountability
The Department of the Navy is responsible for oversight of this contract. The use of a firm fixed price contract and a defined delivery order period should aid in accountability.
Related Government Programs
- Ship Building and Repairing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Contract duration is relatively short (164 days).
- Potential for scope creep if repair needs are underestimated.
- Reliance on a single awardee for critical maintenance.
- Geographic concentration of the contractor in California.
Tags
ship-building-and-repairing, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.1 million to NATIONAL STEEL AND SHIPBUILDING COMPANY. TYCOM BASE ITEMS
Who is the contractor on this award?
The obligated recipient is NATIONAL STEEL AND SHIPBUILDING COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $31.1 million.
What is the period of performance?
Start: 2025-02-17. End: 2025-07-31.
What is the historical performance of National Steel and Shipbuilding Company on similar defense contracts?
Assessing the contractor's past performance is crucial. Reviewing previous contracts, on-time delivery rates, quality of work, and any disputes or claims filed against National Steel and Shipbuilding Company will provide insight into their reliability and capability to execute this current contract effectively.
Are there any identified risks related to the specific type of ship or repairs required under this contract?
The specific nature of the repairs is not detailed. Potential risks could include the complexity of the work, availability of specialized parts or labor, and the age or condition of the vessel. A thorough technical assessment and risk mitigation plan from the Navy are essential.
How does the awarded price compare to independent cost estimates for these services?
While awarded under full and open competition, comparing the final price to independent government cost estimates or industry benchmarks for similar repair work is vital. This comparison helps validate that the competitive process yielded a fair and reasonable price for the taxpayer.
Industry Classification
NAICS: Manufacturing › Ship and Boat Building › Ship Building and Repairing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › NON-NUCLEAR SHIP REPAIR
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002421R4427
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2798 E HARBOR DR, SAN DIEGO, CA, 92113
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $31,113,725
Exercised Options: $31,113,725
Current Obligation: $31,113,725
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0002422D4453
IDV Type: IDC
Timeline
Start Date: 2025-02-17
Current End Date: 2025-07-31
Potential End Date: 2025-07-31 00:00:00
Last Modified: 2025-09-22
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